The Lack of Rare Earth Elements Pushes Europe into Major Concessions to China.
Europe's growing shortage of rare earth elements is forcing it to make unprecedented concessions to China - so deep that analysts now warn the continent could see the collapse of entire industrial sectors within the next five to six years.
Automotive, shipbuilding, aviation, and railway manufacturing are all at risk. To stay afloat, European manufacturers - especially in Germany - are reportedly transferring valuable production know-how and proprietary technologies to Chinese partners in a desperate attempt to survive just a few more months or years.
China, meanwhile, is using this knowledge to strengthen its own technological base. The scenario is alarmingly familiar: just as China mastered and surpassed the West in electric vehicles, it is now poised to outpace Europe across nearly every remaining industrial field.
Investing in major German corporations is rapidly becoming meaningless. These companies will either shut down or be bought out entirely. The battle for industrial dominance has already been decided - China has won against Europe. What remains is the larger confrontation with the United States, a conflict that will likely unfold on Europe's back, among the ruins of its once world-leading industries.